Preventing Check Fraud

Kimberly Watson, Editor in Chief
March 22, 2012 /

Today, the criminal world has extended into spheres of operation that not too long ago, would have been considered impossible. One of the moist critical challenges confronting financial institutions and businesses is the ever increasing and sophistication related to check fraud. The ever increasing and highly advanced technology in this computer dominated age provides the various types of criminal elements the ability to deceive a vast number of innocent victims.

Whether the check fraud is an independently operation or part of a well organized syndicate, they are able to manipulate a variety of systems designed to prey on unsuspecting citizens.

Various studies have been carried out on the prevention of check fraud, a significant amount of which is attributed to counterfeit by using desktop publishing. This facility provides the capability of copying or duplicating a financial document, with any necessary chemical compatibility, with the result of removing the desired amount of information and changing it to the requirements of the perpetrator.

The victims of check fraud are widespread, from financial institutions to businesses that accept checks and naturally, the consumer. For the most part, the crime starts with the original theft of a financial document. It could be as simple as the theft of a blank check from your vehicle, or your home during a burglary. There are a variety of outlets that provide opportunities for innovative criminal minds; for example, a discarded old check in the trash can, or removal from the mail box, a check you are sending in payment of a bill.

The profession of fraud has become even more populated with skilled opportunists and even crafts-persons. For any one, there is readily available technology. The personal computer offers huge potential for the fraud artist, as do scanners and the sophisticated available range of color copiers.

For any individual, business or corporative giant, the potential for check fraud is a permanent presence. Therefore, common sense and astute awareness is an ongoing requirement in any type of financial information exchange or disposal actions.

 

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